On April 17, 2025, gold prices reached unprecedented levels, driven by a combination of global economic instability and shifting market dynamics. By 10:30 AM, the price of SJC gold in Vietnam hit an all-time high of 118 million VND per tael, a sharp increase of 2.5 million VND since the morning’s opening. This surge marks a notable trend, with prices rising by over 10 million VND in just two days. Globally, the price of gold also soared, reaching a record 3,355 USD per ounce, reflecting its growing appeal as a safe-haven asset amid geopolitical uncertainties.
The Saigon Jewelry Company reported the price of SJC gold at 115.5 – 118 million VND per tael, while other gold traders adjusted their rates in response to the soaring demand. Gold rings in Vietnam also saw sharp price increases, with Bao Tin Minh Chau Company pricing them at 115 – 118 million VND per tael. This surge in gold prices is not limited to Vietnam; globally, the metal has broken through significant psychological barriers, surpassing 3,000 USD, 3,100 USD, and now 3,300 USD per ounce within just a week.
Analysts point to several key factors driving this gold rush. The weakening US dollar has made gold more attractive to international investors. The USD Index recently fell to a three-year low, dropping from nearly 110 points in early February to below 99.3 points on April 17. This decline has made gold cheaper for buyers using other currencies, further increasing its appeal. Additionally, escalating trade tensions between the United States and China are prompting investors to turn to gold as a hedge against economic instability.
On April 15, the Trump administration imposed a staggering 245% tax on certain imports from China, a move that rattled financial markets and sent investors toward gold. This decision is part of a broader strategy to counter China’s restrictive export policies on critical minerals, adding to the market’s volatility. Geopolitical tensions, particularly in Ukraine and the Middle East, have also heightened investor fears, reinforcing gold’s role as a safe-haven asset.
Goldman Sachs analysts forecast that gold prices could reach 3,700 USD per ounce by the end of 2025 and may climb to 4,000 USD per ounce by mid-2026. They attribute these predictions to the ongoing economic uncertainty and high inflation, which are expected to support rising gold prices. Ole Hansen, Head of Commodity Strategy at Saxo Bank, warned, however, that a rapid increase in prices could prompt market corrections. “A strong increase may cause the market to fall into adjustment soon. However, the scenario over the past year shows that the degree of adjustment will not be large,” Hansen said.
Despite the recent surge, some experts caution that profit-taking could lead to a market correction. Concerns about potential sell-offs are growing, especially if trade negotiations between the US and China progress positively or if the Federal Reserve signals changes in monetary policy. Federal Reserve Chairman Jerome Powell recently warned that the import taxes could lead to slower economic growth, increased unemployment, and higher inflation—conditions not seen in the past 50 years.
Since the start of 2025, the global gold price has increased by nearly 700 USD per ounce, driven by strong demand from central banks and concerns over global trade dynamics. The World Gold Council reported a net inflow of 21.1 billion USD into gold ETFs in the first quarter of 2025, the highest in five years, highlighting continued investor interest in gold as a reliable asset.
In Vietnam, the price of SJC gold is expected to fluctuate between 120-125 million VND per tael by the end of 2025 if global prices reach the predicted levels. Should gold prices hit 4,000 USD per ounce, domestic prices could rise to approximately 130 million VND per tael. However, given the recent volatility, the potential for significant price corrections remains a concern.
As global economic challenges persist, demand for gold is expected to remain robust, with investors seeking refuge from ongoing uncertainty. The interplay of trade policies, currency fluctuations, and geopolitical tensions will continue to shape the gold market in the coming months, making it a key area of focus for both investors and analysts alike.
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